IDEAS home Printed from https://ideas.repec.org/a/eee/rensus/v187y2023ics1364032123006354.html
   My bibliography  Save this article

Community acceptance of hydrogen power plant projects: The case of South Korea

Author

Listed:
  • Son, Woojin
  • Lee, Seungyeon
  • Woo, JongRoul

Abstract

Hydrogen fuel cell power plants are emerging as a means of transition to a hydrogen economy paradigm to achieve carbon neutrality by 2050. Owing to its advantage of eliminating the need for high-voltage transmission grid installations and reducing related conflicts, the acceptance by the community is key to the successful construction of hydrogen fuel cell power plants near residential regions for a decentralized generation that provides heat as well as electricity. This study estimated residents’ willingness to accept the construction of a hydrogen fuel cell power plant construction and identified the marginal willingness to accept the attributes using a contingent valuation method and discrete choice experiment, respectively. Combining the results of the two methods, a simulation was conducted to determine the subsidy level. The results revealed that the annual WTA of residents for a 5 MW hydrogen fuel cell power plant at a distance of 1 km from the residential area was about KRW 7.8 million (USD 6037/year). However, the annual WTA decreases to KRW 5.41 million (USD 4185/year) if the plant does not have a large-scale hydrogen storage tank internally and increases to KRW 9.42 million (USD 7287/year) if the plant does not supply hot water. The results of this study can serve as empirical evidence for policymakers to secure their acceptance of expanding hydrogen fuel cell power plants and achieving a hydrogen economy.

Suggested Citation

  • Son, Woojin & Lee, Seungyeon & Woo, JongRoul, 2023. "Community acceptance of hydrogen power plant projects: The case of South Korea," Renewable and Sustainable Energy Reviews, Elsevier, vol. 187(C).
  • Handle: RePEc:eee:rensus:v:187:y:2023:i:c:s1364032123006354
    DOI: 10.1016/j.rser.2023.113778
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1364032123006354
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.rser.2023.113778?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Kang, Min Jung & Park, Heejun, 2011. "Impact of experience on government policy toward acceptance of hydrogen fuel cell vehicles in Korea," Energy Policy, Elsevier, vol. 39(6), pages 3465-3475, June.
    2. Azlina, A.A. & Kamaludin, Mahirah & Sin, Moe Shwe, 2018. "Willingness to Pay for Renewable Energy: Evidence from Malaysian’s Households," Jurnal Ekonomi Malaysia, Faculty of Economics and Business, Universiti Kebangsaan Malaysia, vol. 52(3), pages 143-151.
    3. Cousse, Julia, 2021. "Still in love with solar energy? Installation size, affect, and the social acceptance of renewable energy technologies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 145(C).
    4. Shunichi Hienuki & Yoshie Hirayama & Tadahiro Shibutani & Junji Sakamoto & Jo Nakayama & Atsumi Miyake, 2019. "How Knowledge about or Experience with Hydrogen Fueling Stations Improves Their Public Acceptance," Sustainability, MDPI, vol. 11(22), pages 1-12, November.
    5. Lee, Chul-Yong & Heo, Hyejin, 2016. "Estimating willingness to pay for renewable energy in South Korea using the contingent valuation method," Energy Policy, Elsevier, vol. 94(C), pages 150-156.
    6. Nomura, Noboru & Akai, Makoto, 2004. "Willingness to pay for green electricity in Japan as estimated through contingent valuation method," Applied Energy, Elsevier, vol. 78(4), pages 453-463, August.
    7. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521747387, October.
    8. Tisdell, Clem & Wilson, Clevo & Swarna Nantha, Hemanath, 2008. "Contingent valuation as a dynamic process," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 37(4), pages 1443-1458, August.
    9. Sherry-Brennan, Fionnguala & Devine-Wright, Hannah & Devine-Wright, Patrick, 2010. "Public understanding of hydrogen energy: A theoretical approach," Energy Policy, Elsevier, vol. 38(10), pages 5311-5319, October.
    10. Kim, Kyung Jae & Lee, Hwarang & Koo, Yoonmo, 2020. "Research on local acceptance cost of renewable energy in South Korea: A case study of photovoltaic and wind power projects," Energy Policy, Elsevier, vol. 144(C).
    11. Woo, JongRoul & Chung, Sungsam & Lee, Chul-Yong & Huh, Sung-Yoon, 2019. "Willingness to participate in community-based renewable energy projects: A contingent valuation study in South Korea," Renewable and Sustainable Energy Reviews, Elsevier, vol. 112(C), pages 643-652.
    12. W. Michael Hanemann, 1984. "Welfare Evaluations in Contingent Valuation Experiments with Discrete Responses," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 66(3), pages 332-341.
    13. Paulo Anciaes, 2022. "Revealed preference valuation of beach and river water quality in Wales," Journal of Environmental Economics and Policy, Taylor & Francis Journals, vol. 11(1), pages 75-94, January.
    14. Soyeong Park & Solji Nam & Myoungjin Oh & Ie-jung Choi & Jungwoo Shin, 2020. "Preference Structure on the Design of Hydrogen Refueling Stations to Activate Energy Transition," Energies, MDPI, vol. 13(15), pages 1-13, August.
    15. Hanley, Nick & Nevin, Ceara, 1999. "Appraising renewable energy developments in remote communities: the case of the North Assynt Estate, Scotland," Energy Policy, Elsevier, vol. 27(9), pages 527-547, September.
    16. Yue, Meiling & Lambert, Hugo & Pahon, Elodie & Roche, Robin & Jemei, Samir & Hissel, Daniel, 2021. "Hydrogen energy systems: A critical review of technologies, applications, trends and challenges," Renewable and Sustainable Energy Reviews, Elsevier, vol. 146(C).
    17. Choi, Hyunhong & Woo, JongRoul, 2022. "Investigating emerging hydrogen technology topics and comparing national level technological focus: Patent analysis using a structural topic model," Applied Energy, Elsevier, vol. 313(C).
    18. Daan Hulshof & Machiel Mulder, 2020. "Willingness to Pay for $$\hbox {CO}_2$$CO2 Emission Reductions in Passenger Car Transport," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 75(4), pages 899-929, April.
    19. Moon, HyungBin & Park, Stephen Youngjun & Woo, JongRoul, 2021. "Staying on convention or leapfrogging to eco-innovation?: Identifying early adopters of hydrogen-powered vehicles," Technological Forecasting and Social Change, Elsevier, vol. 171(C).
    20. O'Garra, Tanya & Mourato, Susana & Garrity, Lisa & Schmidt, Patrick & Beerenwinkel, Anne & Altmann, Matthias & Hart, David & Graesel, Cornelia & Whitehouse, Simon, 2007. "Is the public willing to pay for hydrogen buses? A comparative study of preferences in four cities," Energy Policy, Elsevier, vol. 35(7), pages 3630-3642, July.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Choi, Jihye & Kim, Justine Jihyun & Lee, Jongsu, 2024. "Public willingness to pay for mitigating local conflicts over the construction of renewable energy facilities: A contingent valuation study in South Korea," Energy Policy, Elsevier, vol. 185(C).
    2. Arturo Vallejos-Romero & Minerva Cordoves-Sánchez & César Cisternas & Felipe Sáez-Ardura & Ignacio Rodríguez & Antonio Aledo & Álex Boso & Jordi Prades & Boris Álvarez, 2022. "Green Hydrogen and Social Sciences: Issues, Problems, and Future Challenges," Sustainability, MDPI, vol. 15(1), pages 1-18, December.
    3. Dalia Streimikiene & Tomas Balezentis & Ilona Alisauskaite-Seskiene & Gintare Stankuniene & Zaneta Simanaviciene, 2019. "A Review of Willingness to Pay Studies for Climate Change Mitigation in the Energy Sector," Energies, MDPI, vol. 12(8), pages 1-38, April.
    4. Lim, Seul-Ye & Kim, Hyo-Jin & Yoo, Seung-Hoon, 2018. "Household willingness to pay for expanding fuel cell power generation in Korea: A view from CO2 emissions reduction," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P1), pages 242-249.
    5. Xie, Bai-Chen & Zhao, Wei, 2018. "Willingness to pay for green electricity in Tianjin, China: Based on the contingent valuation method," Energy Policy, Elsevier, vol. 114(C), pages 98-107.
    6. Woo, JongRoul & Moon, Sungho & Choi, Hyunhong, 2022. "Economic value and acceptability of advanced solar power systems for multi-unit residential buildings: The case of South Korea," Applied Energy, Elsevier, vol. 324(C).
    7. Lee, Min-Kyu & Nam, Jungho & Kim, Miju, 2023. "Valuing the public preference for offshore wind energy: The case study in South Korea," Energy, Elsevier, vol. 263(PB).
    8. Tan, Ruipeng & Lin, Boqiang, 2019. "Public perception of new energy vehicles: Evidence from willingness to pay for new energy bus fares in China," Energy Policy, Elsevier, vol. 130(C), pages 347-354.
    9. Irie, Noriko & Kawahara, Naoko, 2022. "Consumer preferences for local renewable electricity production in Japan: A choice experiment," Renewable Energy, Elsevier, vol. 182(C), pages 1171-1181.
    10. Stigka, Eleni K. & Paravantis, John A. & Mihalakakou, Giouli K., 2014. "Social acceptance of renewable energy sources: A review of contingent valuation applications," Renewable and Sustainable Energy Reviews, Elsevier, vol. 32(C), pages 100-106.
    11. Gracia, Azucena & Barreiro-Hurlé, Jesús & Pérez y Pérez, Luis, 2012. "Can renewable energy be financed with higher electricity prices? Evidence from a Spanish region," Energy Policy, Elsevier, vol. 50(C), pages 784-794.
    12. García, Jorge H. & Cherry, Todd L. & Kallbekken, Steffen & Torvanger, Asbjørn, 2016. "Willingness to accept local wind energy development: Does the compensation mechanism matter?," Energy Policy, Elsevier, vol. 99(C), pages 165-173.
    13. Jeongbin Lee & Jungwoo Shin, 2023. "The Economic Value of New Sustainable Products: The Case of Photovoltaic Thermal (PVT) Hybrid Solar Collectors," Energies, MDPI, vol. 16(14), pages 1-12, July.
    14. Ponce Oliva, R.D. & Estay, M. & Barrientos, M. & Estevez, R.A. & Gelcich, S. & Vásquez-Lavín, F., 2024. "Emerging energy sources' social acceptability: Evidence from marine-based energy projects," Renewable and Sustainable Energy Reviews, Elsevier, vol. 198(C).
    15. Kyu-Won Hwang & Jaekyun Ahn & Chul-Yong Lee, 2023. "Analysis of Consumer Willingness to Pay for Community Solar Business Using Contingent Valuation Method," Sustainability, MDPI, vol. 15(6), pages 1-17, March.
    16. Moon, Sungho & Kim, Youngwoo & Kim, Minsang & Lee, Jongsu, 2023. "Policy designs to increase public and local acceptance for energy transition in South Korea," Energy Policy, Elsevier, vol. 182(C).
    17. Khong, Tien Dung & Young, Michael D. & Loch, Adam & Thennakoon, Jayanthi, 2018. "Mekong River Delta farm-household willingness to pay for salinity intrusion risk reduction," Agricultural Water Management, Elsevier, vol. 200(C), pages 80-89.
    18. Bakkensen, Laura & Schuler, Paul, 2020. "A preference for power: Willingness to pay for energy reliability versus fuel type in Vietnam," Energy Policy, Elsevier, vol. 144(C).
    19. Kim, Hyunggeun & Park, Sangkyu & Lee, Jongsu, 2021. "Is renewable energy acceptable with power grid expansion? A quantitative study of South Korea's renewable energy acceptance," Renewable and Sustainable Energy Reviews, Elsevier, vol. 139(C).
    20. Paravantis, John A. & Stigka, Eleni & Mihalakakou, Giouli & Michalena, Evanthie & Hills, Jeremy M. & Dourmas, Vasilis, 2018. "Social acceptance of renewable energy projects: A contingent valuation investigation in Western Greece," Renewable Energy, Elsevier, vol. 123(C), pages 639-651.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:rensus:v:187:y:2023:i:c:s1364032123006354. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/600126/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.